Sheep farming, as many other places in Patagonia, was the main impetus for population settlements beginning in the late 19th century.

[citation needed] Abundant rivers, the seacoast, and good pastures were some of the reasons that fueled population growth.

In 2014, the city came into international scrutiny after a mob of some 300 vehicles blocked the escape of the support staff for the BBC Television program Top Gear after they had already been attacked with eggs and stones in Tolhuin, on a protest that started after their car plate resembled the Falkland Islands dispute.

[1][2] To promote industrial development, Tierra del Fuego is excluded from VAT and federal income tax.

These products were totally imported until 2006 but by 2010, and due to initiatives under the Kirchner administrations, 42% of the Argentine market for these goods was supplied by firms established in Río Grande and Vicente López.

In April 2011, portfolio investments announced that they were planning to produce over 6.9 million units made in Tierra del Fuego Province, principally in Río Grande, which means more than a half of the sold netbooks in the country.